Indonesian Workers Protest Wage Rate, Outsourcing Jobs in May Day Rallies

JAKARTA, KOMPAS.com – Amid their opposition to the new Job Creation Law, Indonesian workers and union leaders also raised their concerns on wage rate and labor outsourcing during the May Day protests on Saturday, May 1.

The concerns were brought up to the table during a discussion with the Presidential Chief of Staff Moeldoko in Jakarta. Representing the workers were leaders of All-Indonesia Workers Union Confederation (KSPSI) and Confederation of Indonesian Trade Unions (KSPI).

"During the meeting with Pak Moel [Moeldoko], we bring up some issues that we have already raised before in the Constitutional Court because we feel that from the labor perspective the issues could harm the labors,” said KSPI President Said Iqbal at the Bina Graha Building in Jakarta on Saturday.

Also read: Indonesian Labor Unions to Stage Online, Offline Protests in Constitutional Court Building Monday

We told Moeldoko about the minimum wage for workers, Iqbal said. Big companies should be able to pay a more decent wage to their workers considering the profits they make.
"Big companies should pay their workers more than those smaller companies,” he said.

According to Said, decent pay for the workers could also increase people’s purchasing power as public consumption remains a major contributor to the country’s economic growth besides investment.

“What we ask for is a sense of fairness and the rights of labors can be fulfilled,” he added.
He also highlighted that long-term outsourced workers and contract employees with no guarantee of job security are still found. He said that the government remains to take no notice of the practice.

“I think the government needs to look into the matter because as contract employees, they have no hope of becoming permanent workers,” he said.
During the meeting, the absence of unemployment insurance was also brought up by the representatives of KSPSI and KSPI.

Also read: Indonesian Police Anticipate Labor Protests Against Jobs Law

Although the laid-off workers (JKP) scheme has been issued, the new Job Creation Law could make companies carry out dismissal easily.

“The JKP scheme is provided for two consecutive years. With this, referring to the long-term outsourcing of labor services in all types of work without restrictions, it is easy for employers to fire the workers after a year or six months of a contract,” he said.

Currently, the judicial review process of the Job Creation Law is still ongoing at the Constitutional Court.

The union leaders hoped that the issues will be delivered to President Joko Widodo.
Meanwhile, according to Moeldoko, the government is not ignoring the welfare of workers in the implementation of the Job Creation Law, especially regarding the sectoral wages and religious holiday allowance or locally known as THR.

“These are the two highlights that I will point out to the Manpower Minister,” Moeldoko said in a statement on Saturday.

He said that the government will take a firm stance against companies that do not provide THR to their employees.

(Writer: Fitria Chusna Farisa | Editor: Bayu Galih)

Source: https://nasional.kompas.com/read/2021/05/02/09371551/may-day-2021-dan-keresahan-para-buruh-dari-upah-hingga-outsourcing.